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Stop Payment....from a dealership

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What is the name of your state? Oklahoma

Two years ago my husband and I bought a lemon truck and when it was bought back from the manufacturer we cancelled the extended warranty and the disability/life insurance policy we bought when we bought the truck.

Well, when we first signed the papers on all of this we were told repeatedly that if we cancelled those policies before the term of the loan, we would be reimbursed for remaining years we had already paid for.

Well, we followed every single thing they told us to do and we were reimbursed for the remainder of the extended warranty. Then, after waiting two months for the life/disability insurance refund, and being told during this time that it was ours, we did pay for it and all that, we finally get reimbursed. My husband we by, got the check, written out to him (from the dealership?) and a stup stating what it was for etc, and deposited.

The next day the dealership calls my husband and tells him that we have to return the money and that it belongs to them. They couldn't give him an explanation, but stated that we didn't pay for the life/disability that they did (but every single paper we have with that info on it from two years ago states where we paid for it) and that the money belongs to them. My husband asks the guy to clarify how they are to recieve the refund for something we paid for? He couldn't and has refused to return our calls since that day.

Today I checked my bank account and evidentally they have stopped payment on the check. I called the bank and they can't seem to give me any information about it at all and the dealership refuses to speak with me about it.

What are my options here? Is there any recourse on this? Most of all, is this legal for them to do after saying that the money does belong to us and even issued a stub stating what it was for etc?

Thanks for all the replies,
Stephanie

PS
I did read through the posts on this issue and haven't found any that deal with this issue, if there is a previous post on this, please direct me to it. Thanks again!
 


Some Random Guy

Senior Member
If your written contract states that you should get a refund, then sue them in small claims court. I hope that you kept all paperwork where they say the refund belongs to you, including th econtract, check stub and any other written correspondence.
 
My husband stated that the dealership told him that yes we did pay for this, but they did not recieve payment for it in the financing contract. Funny how in that contract it states right there that the amount was financed into the amount we were paying. It's my understanding that they were paid by the finance company for the amount we financed, is that not true?

It does state on the life/disability paperwork that the unused portion would be returned. Which brings up a whole new question because we paid over $1,700 on that policy and were only reimbursed $550.09. If you go by what they stated to me previously, if it was paid fully in one lump sum (as we were told it was to be done this way) then it would be divided by the term of the loan and reimbursed according to the remainder of the months and would not be subject to the rule of 11 (I think that is what was stated). However it seems that it was calculated to be paid monthly and the rule of 11 would apply and the reimbursement would be correct.

The only paperwork we have at this point is the financing papers, the papers showing where we did buy the policy and did buy the extended warranty. I did call the insurance company in which this policy was through and they stated that the funds were to be distributed to us rather than the dealership however the dealership would recieve the check and forward it to us because of some rule they have.

Thanks for all replies!
 
Last edited:
I spoke with a bank officer today who said that once I recieve the check I need to take it to the District Attorney and file it with the 'hot checks' division and that they would handle it. She was unable to tell me anymore information on the matter except that I would be getting the check back and what to do.

It's my understanding that in the state of Oklahoma any amount over $500 is to be a felony case and that the other party would responsible for all fees associated with the return of the check.

Thanks for all the input and replies! From where I'm sitting now, it looks like I have heck of a fight on my hands....
 

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